H.R. 9713: No More Debt Relief to China Act

This bill would create a strong penalty if certain international financial institutions help provide debt relief to China in specific ways.

What would happen

• If the International Monetary Fund (IMF) gives China relief on a loan it made to China, the Treasury Secretary would have to send notice withdrawing the United States from the IMF.
• If a World Bank Group institution or the Asian Development Bank gives debt relief to a country in a way that helps China also reduce or ease its own debt burden to that country, the Treasury Secretary would have to send notice withdrawing the United States from that institution too.
• After the notice is sent, the Treasury Secretary would have to finish the withdrawal process within 60 days.
• Once the United States withdraws from an institution under this bill, it would be barred from rejoining that institution.

IMF voting instructions

The bill would also require the Treasury Secretary to instruct the U.S. representative at the IMF to oppose any such debt relief for China using the United States’ vote and voice.

Reporting to Congress

The Treasury Secretary would have to obtain monthly reports from the IMF, the World Bank Group, and the Asian Development Bank about their financial transactions. These reports would need to include any money provided to China and any debt of China that was forgiven. Treasury would then send those reports to Congress.

Other policy statement

The bill states that Congress has the authority to direct how the United States acts in international financial institutions.

Relevant Companies

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